Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!

This AMD Bear Is No Less Bearish Ahead Of Q3 Earnings

Courtesy of Benzinga.

This AMD Bear Is No Less Bearish Ahead Of Q3 Earnings

Advanced Micro Devices, Inc. (NASDAQ: AMD) has launched a series of new products in 2017 that have investors excited about the company’s future in a robust semiconductor market. However, Citi analyst Philip Lee isn’t so impressed by AMD’s new line of Ryzen CPUs and says Intel Corporation (NASDAQ: INTC)’s recently launched Coffee Lake CPUs have widened Intel’s performance advantage over AMD.

Lee cited new tests that suggest Coffee Lake CPUs have a 21 to 23 percent performance advantage over Ryzen CPUs. Intel’s previous CPU product, Kaby Lake, had just a 10-percent performance advantage.

Lee said Coffee Lake is just the tip of the iceberg, and AMD investors should be prepared for a wave of new marketplace competition. He said the performance gap between Intel and AMD will likely continue to widen with the next generation of processors.

Citi is expecting AMD’s unit share to increase when the company reports third-quarter earnings on Oct. 24. However, Lee said these gains will not be sustainable in the long term. Lee reiterated Citi’s Sell rating on the stock.

“Despite new products, AMD is still losing money [and] we see no change in sight as it fall further behind the competition,” he said.

Back in September, Susquehanna’s quarterly semiconductor report indicated that AMD gained both GPU and CPU market share in the third quarter. However, Susquehanna said most of AMD’s gains came at the expense of NVIDIA Corporation (NASDAQ: NVDA) rather than Intel.

Heading into Q3 earnings season, Susquehanna prefers semiconductor investors choose Positive-rated Intel and Marvell Technology Group Ltd (NASDAQ: MRVL) over Neutral-rated AMD and Nvidia.

Related Link: AMD, Marvell Gain Semiconductor Share In Q3

Latest Ratings for AMD

Date Firm Action From To
Oct 2017 Barclays Maintains Underweight
Jul 2017 Baird Initiates Coverage On Outperform
Jul 2017 BMO Capital Downgrades Outperform Market Perform

View More Analyst Ratings for AMD


View the Latest Analyst Ratings

Posted-In: Analyst Color Earnings News Guidance Short Ideas Previews Reiteration Analyst Ratings Best of Benzinga


Do you know someone who would benefit from this information? We can send your friend a strictly confidential, one-time email telling them about this information. Your privacy and your friend's privacy is your business... no spam! Click here and tell a friend!





You must be logged in to make a comment.
You can sign up for a membership or get a FREE Daily News membership or log in

Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!